McDonald's Shares Gain on Q1 Earnings Beat, Global Comp Sales Growth

McDonald’s Corp MCD reported first-quarter FY22 sales growth of 11% year-on-year to $5.67 billion, beating the consensus of $5.59 billion.
Global comparable sales rose 11.8%, with 3.5% growth in the U.S.
Digital systemwide sales exceeded $5 billion, representing over 30% of total systemwide sales in the company's top six markets.
Sales by company-operated restaurants grew 7% Y/Y to $2.3 billion, while sales from franchised restaurants rose 13% to $3.3 billion.
Total operating costs and expenses rose 18% Y/Y to $3.4 billion.
Operating margin was 40.8%, and operating income for the quarter rose 1% to $2.31 billion.
Adjusted EPS of $2.28 beat the analyst consensus of $2.17.
The company temporarily suspended operations during the quarter in Russia and Ukraine due to the military conflict in the region, incurring $27 million in costs related to employee salaries, lease and supplier payments, and $100 million of costs for inventory in the company's supply chain.
Price Action: MCD shares are trading higher by 1.97% at $252.00 in premarket on the last check Thursday.
Photo Via Wikimedia Commons

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